Awards can be funded by outright gifts (cash, cheque, securities) or a pledge payable over a period of time. Capital for an endowed award can be accumulated over several years. The first award is made the year after the fund reaches the minimum level. Awards with the exception of convocation prizes are applied directly to the student recipient’s electronic tuition account.
Donors may elect to establish an endowment fund at the University to provide a reliable, annual source of income to support the award. The University invests the capital and each year, the available annual interest earned on the fund which is currently about 4.5 per cent, is used to offer the award. The initial donation or capital is not disbursed, ensuring that the scholarship, bursary, prize, or fellowship will be awarded in perpetuity.
A minimum contribution of $25,000 is required to establish an endowment fund at the University of Manitoba. This amount may be pledged over five years.
Annually funded awards
Some donors fund their awards by making an annual donation. This type of award continues as long as the donor provides funds to offer the scholarship, bursary, prize, or fellowship. A commitment of $2,500 for a minimum of three years is needed to establish an annually funded award. For Bisons Sports awards, a commitment of $1,000 for a minimum of three years is needed to establish an annually funded award.